China Signals It Will Increase Soybean Imports from Ethiopia

China will start allowing soybean imports from Ethiopia, customs authorities said on Friday [7 September 2018], as the world’s top importer seeks to reduce its reliance on supplies of the oilseed from the US amid the rising trade row with Washington. The move would diversify the origins of imported soybean for China and help meet domestic demand, the General Administration of Customs said in a statement on its website, following last week’s China-Africa cooperation forum held in Beijing…Full Article: The Global Times Sept 2018

Key Points

From January to March 2018, China imported 13,508 MTs of soybeans from Ethiopia. In 2017, soybean imports from Ethiopia totaled 14,939 MTs.

ChinaAg Comments

On 6 July 2018, China increased the import tariff rate for U.S. soybeans to 25%. The increase was in retaliation to similar tariff increases by the U.S. on Chinese goods.

On 18 April 2018, US sorghum exporters would have to start paying a 178.6% deposit on China-bound shipments after a preliminary investigation by China’s Ministry of Commerce (MOFCOM) found that the USA was dumping sorghum. In the wake of the announcement, at least three US sorghum shipments bound for China were re-purchased by Saudi Arabia.

On 2 April 2018, China’s Ministry of Commerce imposed additional tariffs on 128 US products. These included an additional 15% tariff on almonds, walnuts, pistachios, oranges, lemons/limes, grapes, raisins, apples, pears, cherries, strawberries, cranberries, ginseng, wine, as well as an additional 25% tariff on pork and offal (e.g. pigs feet, head meat, etc.).

In April 2016, Qingdao Port and the Port of Djibouti signed a partnership agreement in the capital of the African country. As of 2016, Qingdao Port (located along the Yellow Sea) had an annual capacity to hold/transit 15 million containers.

In December 1970, China and Ethiopia established diplomatic relations.